Bitcoin hits $106K, an all-time high fueled by Donald Trump’s intention to do “great with crypto”
Bitcoin reached an all-time high on Monday after institutional interest in the digital currency spiked as President-elect Donald Trump confirmed plans for Bitcoin reserve.
Bitcoin (BTC) reached an all-time high of $106,488.25 at 12:40 AM UTC after ascending for 25 minutes straight. This hike follows the former U.S. President Donald Trump’s announcement at the New York Stock Exchange on Dec. 12 to create a U.S. Bitcoin strategic reserve. Trump’s remarks, intended to ensure the U.S. maintains an advantage over global rivals, have spurred investor excitement and propelled market momentum. Speaking to CNBC, Trump said, “We’re gonna do something great with crypto … we want to be ahead.”Â
This momentum was evidently reinforced by Republican Senator Cynthia Lummis’ BITCOIN Act, which aims to have the U.S. purchase 1 million BTC over the next five years to combat the $35 trillion national debt. This narrative is gaining global momentum, as Russia is contemplating a Bitcoin strategic reserve after President Vladimir Putin said BTC cannot be banned.Â
In addition to that, Anton Tkachev, a Russian Finance minister, also suggested establishing a strategic Bitcoin reserve in order to solve the issue of sanctions placed on the country.Â
MicroStrategy, a major corporate holder of Bitcoin, bought 21,550 BTC for $2.1 billion, raising its overall holdings to 423,650 BTC. The company has also been listed on Nasdaq 100 and will be open to the public from Dec. 23.Â
FOMO, or fear of missing out, an opportunistic sentiment running among investors, has been at an apex after the U.S. Spot Bitcoin ETFs achieved a total cumulative net inflow of more than $50 billion in a year.
Bitcoin hashrate hits record highs
![A chart titled "Bitcoin: Miners' Revenue Breakdown [$100k]" shows Bitcoin's price (black line) and cumulative miners' revenue over time, broken into total transaction fees (red) and total miner revenue (yellow). The chart spans from January 2018 to mid-2024, with Bitcoin's price fluctuating significantly but trending upwards. Miner revenue and transaction fees steadily increase, reaching approximately $72 billion cumulatively by 2024, alongside Bitcoin’s price growth.](https://crypto.news/app/uploads/2024/12/glassnode-studio_bitcoin-miners-revenue-breakdown-100k-2.png.webp)
On-chain, Bitcoin network hashrate has soared to record levels on the miner side. According to hash rate data from Glassnode, hash rates soared from 128 EH/s to more than 804 EH/s, with 37% of the total computational activity carried out in 2024 alone. Bitcoin’s strong network security and economic incentives have pushed miners to earn $71.49 billion in revenue cumulatively.
